Dogecoin Surges 4.339% as Technical Pattern Signals Bullish Reversal

Dogecoin's latest price was $0.1793, up 4.339% in the last 24 hours. This surge in price can be attributed to the recent formation of an Inverse Head and Shoulders pattern on its daily chart, a technical pattern that often signals a bullish reversal. This pattern began with a left shoulder in early March, followed by a deeper low forming the head in April, and a right shoulder in May, creating symmetry that aligns with traditional pattern characteristics. The neckline was drawn across two key resistance levels, with one breaking in late May, marking the first confirmation of a potential reversal. The current Dogecoin price action shows a pullback to that same neckline, a typical movement before a continuation. Traders often see such retests as an opportunity for entry, especially if buying volume strengthens. A successful hold above the neckline may suggest DOGE is preparing for another leg up.

Dogecoin has been in the news due to the recent clash between Elon Musk and Donald Trump. Musk officially left the Department of Government Efficiency on Thursday, following his criticism of Trump’s spending bill. Their back-and-forth heated up after Trump expressed disappointment in Musk, leading to a series of heated exchanges on social media. Musk claimed that Trump would not have won the election without his support, to which Trump responded by calling Musk "CRAZY" and threatening to cancel Tesla and SpaceX contracts. Musk fired back on X with, "Go ahead, make my day." He even warned he might decommission SpaceX’s Dragon spacecraft. Musk also mentioned that files about Jeffrey Epstein’s case have stayed secret because Trump’s name appears in them, adding another layer to the feud. Trump replied that he would pull any contracts with Musk’s companies.

The feud between Musk and Trump had a significant impact on the Dogecoin market. Dogecoin fell sharply on Thursday, and over the past week, it was down from its recent highs. Many still see Dogecoin as "the people’s crypto" because of Musk’s early support. But without his backing in that government role, sentiment soured quickly. It’s a coin that has no real asset behind it, so any shift in hype can send prices tumbling. A drop of this size is rare, yet it felt inevitable once the Musk-Trump feud spilled into public view. Tesla shares also slid, closing down 13% on Thursday, after Trump signaled he would pull federal contracts from any company owned by Musk. Investors feared lost revenue and stiffer regulatory oversight. Tesla shares had been riding high this year, but angry tweets from Trump were enough to shake confidence. Even a short phrase on X can move markets—especially when it involves a figure as polarizing as Trump or Musk.

The broader crypto market also felt a jolt due to the feud. According to Coinglass data, total liquidations reached in a single day. Of that, long liquidations—bets on rising prices—totaled. Short positions, or bets expecting prices to fall, saw losses of. That level of liquidation is striking, and it showed how quickly nerves can fray when big personalities clash. Bitcoin and many altcoins slid alongside Dogecoin, creating a chain reaction of forced sell-offs. The influence of prominent figures like Elon Musk on Dogecoin’s price is well-documented, with social media activity often triggering rapid market reactions. The recent feud involving Musk and Trump has introduced additional uncertainty, underscoring how external social factors can amplify volatility in cryptocurrency markets. This dynamic highlights the necessity for investors to integrate sentiment analysis alongside technical evaluation to better navigate the memecoin landscape.